Zazu Completes Private Placement of C$7,974,252

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 10, 2011) - Zazu Metals Corporation (TSX:ZAZ) ("Zazu") is pleased to announce the completion of a non-brokered private placement of C$7,974,252. Zazu placed 8,860,280 shares at C$0.90 representing 19.9% of the issued and outstanding common shares of the company on a post closing basis.

The purchaser is Zebra Holdings and Investments S.À.R.L, ("Zebra") a company owned by a trust settled by the late Adolf H. Lundin.

"We welcome this investment by Zebra as it provides sufficient capital to take the Lik deposit through the Feasibility Study towards a production decision," said chief executive officer Gil Atzmon. "The work already completed by Zazu will enable the project to advance quickly. We also intend to conduct exploration drilling on the contiguous Lik North deposit, which already hosts a high-grade Inferred Resource."

The zinc market will be faced with several large mine closures over the next five years, with limited potential for replacement. Zazu offers investors the opportunity to participate in a large, high-grade sulphide and open-pittable zinc deposit, located 20kms from existing infrastructure.

In May of 2010, Zazu announced a positive Preliminary Assessment Study completed by Scott Wilson Roscoe Postle Associates (Scott Wilson RPA). The study also identified several areas where the economics could be improved. As part of a due diligence process required by Alaska Industrial Development and Export Agency (AIDEA), Zazu retained JDS Energy and Mining (JDS) and PND Engineers, Inc (PND) to evaluate those areas and investigate others. Their subsequent analysis suggested that the IRR of the project could be significantly improved from the PAS estimate.

AIDEA is a state owned entity that owns the haul road and port currently used by the Red Dog mine. This infrastructure is available for use by Zazu. The JDS Study is part of the process by which AIDEA will consider investment in modifications and expansion of these facilities for the development of the Lik deposit.

The JDS study is available on the AIDEA website. It is conceptual in nature, and not NI 43-101 compliant, and accordingly cannot be relied upon. The PAS is available on SEDAR.

For a period of two years and for such longer period thereafter as Zebra owns at least 10% of the issued and outstanding shares on non-diluted basis, Zebra shall have the right to name a nominee to the board of directors and participate in financings on a pro rata basis. In addition, Zebra has agreed not to increase its ownership for a period of one year without the approval of management unless Zazu enters into a business combination where Zazu shareholders will own less than 50% of the resulting entity, or a third party offers to acquire 50% or more of the outstanding voting shares of Zazu pursuant to a formal take-over bid. All securities issued pursuant to this private placement are subject to a hold period of four months from closing. Zazu has 44,524,051 common shares issued and outstanding on a post closing basis.

The proceeds will be used to complete the Feasibility Study on the Lik South deposit, exploration drilling on the contiguous Lik North deposit as well as general operating expenses.

In May of 2009, Scott Wilson RPA completed an updated Mineral Resource estimate. Their estimate of Lik South is an Indicated Mineral Resource of 18.74 million tonnes grading 8.08% zinc, 2.62% lead and 52.8 g/t silver; plus an Inferred Mineral Resource of 1.23 million tonnes grading 6.80% zinc, 2.12% lead and 35 g/t silver, at a 5% cut off grade. Lik North is an additional 5.18 million tonnes grading 9.65% zinc, 3.25% lead and 51 g/t silver of Inferred Resource at a 7% cut off grade. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

The part of this news release pertaining to the Mineral Resource estimate was reviewed by Dr. William E. Roscoe, P.Eng., a Principal Consulting Geologist with Scott Wilson RPA, and Neil N. Gow, P.Geo., Associate Consulting Geologist with Scott Wilson RPA, both of whom are qualified person as defined by National Instrument 43-101.

About Zazu Metals:

Zazu is a Canadian-based exploration company focused on acquiring and developing base metal properties in North America. Zazu's principal asset is its 50% interest in the Lik zinc – lead - silver deposit in North West Alaska. Teck is a 50% joint venture partner in the Lik deposit. However, Zazu has the exclusive right to obtain 80% of the property by meeting certain spending commitments by 2018. Zazu is in the enviable position of having a limited number of shares outstanding, a strong treasury and no debt.

Additional information about Zazu is available on its website at www.zazumetals.com.

ON BEHALF OF THE BOARD OF DIRECTORS

Gil Atzmon,
Chairman and CEO

Some of the statements contained in this news release are forward-looking statements, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.